Financial Advice – Getting Started
Where to start – your investment guide
“understand where you want to be and how you are going to get there”
Clearing a path through the investment jungle
Sharebrokers, fixed interest, equities, debentures, on-line dealers, imputation credits; the list of financial jargon is long and not exactly straightforward. So can it be simplified especially for the inexperienced investor? We believe so!
Step 1 – review your current financial position and what kind of investor you are
Are you conservative and want to protect your investment at all costs? Are you in a position to be a little more adventuresome or are you somewhere in-between? Do you want to save for your retirement or have a regular income from your investment?
Step 2 – seek financial advice
The difficulty is knowing where to start. Hamilton Hindin Greene is a NZ owned and operated sharebroking firm that has been offering financial advice to New Zealanders since 1900. HHG has a number of NZX qualified Advisors that would be happy to assist you through the financial jungle.
Step 3 – define your investment goals and time horizons
Your investment strategy is based on your circumstances now: your goals, your time horizon and your risk profile. Normally there is no need for frequent change, but circumstances do change over time. It is recommended you review your own circumstances on a regular basis. Ask yourself: Have my goals changed? What is the time horizon of my investment goals now? How comfortable am I now with risk? (see Step 4) Any changes to your answers should warrant a review of your investment strategy. A review does not always mean change, but it helps ensure you are still on the right track, and the investment strategy you have adopted is still appropriate for you.
Step 4 – determine your attitude to investment risk
The balance of risk and return is the key to understanding any investment strategy. Generally, if the investment return over the short-term is fairly predictable, the investment is said to be of lower risk. If the return has a greater potential to fluctuate over the short-term, the investment is said to be of higher risk.
Step 5 – choose your investment strategy
When it comes to investing, the importance of diversification cannot be over emphasised. Unless you want to play a very high risk (with potentially high returns) game, most advisers will plan your investments across a range of options. This strategy spreads the exposure of your investments against market wobbles.
Step 6 - monitor and review your investment strategy
You have probably been through Step 1 in your head, whilst driving to work or relaxing at home. However it is worth getting a second opinion. HHG has a strong team of client advisers who can walk you through these steps one at a time, regardless of the size of your investments. We can advise on a comprehensive range of sharemarket options to suit everyone’s appetite for security and risk.
We recommend that you meet with your adviser on a regular basis to review your investment strategy and your investment portfolio.
Your Hamilton Hindin Greene Investment Adviser will be glad to:
- assist you in your investment strategy
- help you review your investment strategy and risk profile on a regular basis
- keep you informed on market developments
- monitor your investments and provide advice
- keep all information confidential
OverView, our premium portfolio service, can assist you with the review process by encompassing performance and valuation reporting, cash account transactions (interest, dividends and fees) and economic outlook. Find out more about our premium service, OverView - Portfolio Investment Management service